Tempest Therapeutics, Inc. (TPST): BCG Matrix [Dec-2025 Updated]

You're looking at Tempest Therapeutics, Inc.'s portfolio right now, and honestly, for a clinical-stage biotech, the BCG Matrix is all about potential and risk, not current sales. With zero commercial products-meaning no Cash Cows and no Stars yet-the entire focus lands squarely on the Question Marks, like the Phase 3-ready Amezalpat (TPST-1120) and the new Dual-CAR T assets acquired in November 2025. The immediate risk is the cash drain: the company is burning fast, posting a year-to-date net loss of $22.2 million through Q3 2025, leaving only $7.5 million on the balance sheet, which makes the financial reality a clear Dog that demands strategic resolution. Let's map out exactly where the focus-and the risk-lies below.

Background of Tempest Therapeutics, Inc. (TPST)

You're looking at a clinical-stage biotechnology company, Tempest Therapeutics, Inc. (TPST), which is focused squarely on developing first-in-class small molecule therapeutics aimed at fighting cancer. Their approach centers on creating treatments that both directly kill tumor cells and activate the patient's own tumor-specific immunity. Tempest Therapeutics is headquartered in Brisbane, California, and operates in the highly competitive space of targeted and immune-mediated cancer therapies. That's the core of what they do.

The pipeline, which is the list of drugs they are developing, is anchored by a couple of key candidates you'll hear about often. The lead program is amezalpat, also referred to as TPST-1120, which is a clinical PPAR$\alpha$ antagonist. This drug is designed to reprogram the tumor microenvironment by disrupting fatty acid oxidation in both cancer and immune cells. The other main candidate mentioned is TPST-1495. These programs are designed to hit novel targets, meaning they might be tackling disease mechanisms in a completely new way.

As of late 2025, amezalpat is making significant clinical progress, particularly in first-line hepatocellular carcinoma (HCC). Tempest received clearance to initiate a pivotal trial for the amezalpat combination therapy in China, building on similar clearances already secured from the FDA and EMA in the U.S. and Europe. Furthermore, both key candidates have secured valuable regulatory incentives: amezalpat received orphan drug designation from the EMA, and TPST-1495 received the same designation from the FDA for familial adenomatous polyposis (FAP). These designations can offer significant financial and development advantages down the road.

Financially, the company has been navigating a capital-intensive period, which is typical for this stage of biotech. Reporting third-quarter 2025 results on November 5, 2025, Tempest ended that quarter with $7.5 million in cash and cash equivalents. That's a notable drop from the $30.3 million they held on December 31, 2024. To address this, the company has been actively exploring a full range of strategic alternatives to maximize stockholder value. They also recently announced a strategic acquisition of new Dual-CAR T programs in November 2025, projecting a runway extension to mid-2027.

Tempest Therapeutics, Inc. (TPST) - BCG Matrix: Stars

You're looking at Tempest Therapeutics, Inc. (TPST) from a portfolio perspective, and honestly, the 'Stars' quadrant is currently empty, which is typical for a clinical-stage firm. The definition of a Star requires both high market growth and high market share, but Tempest Therapeutics, Inc. is pre-commercial, meaning it has no established market share to claim leadership.

Financially, this is clear: analysts forecast Tempest Therapeutics, Inc.'s revenue for 2025 to be $0. The company reported no current revenue in its Q3 2025 update, reflecting its focus purely on development-stage activities. The net loss for the nine months ended September 30, 2025, was $22.2 million. This lack of sales revenue immediately disqualifies any asset from being a true Star today.

However, the closest asset to fitting the high-growth potential aspect of a Star is Amezalpat (TPST-1120). This oral, small-molecule PPAR$\alpha$ antagonist is targeting hepatocellular carcinoma (HCC). The market potential is significant, as the global liver cancer drug market size is expected to reach $7.6 billion by 2033.

Amezalpat (TPST-1120) has achieved critical regulatory and clinical milestones that position it for high future growth, but it still lacks the necessary market share:

• Granted Fast Track Designation by the U.S. Food and Drug Administration (FDA) for HCC treatment.
• Achieved Phase 3-ready status following positive end-of-Phase II interactions with the FDA and EMA.
• Planned initiation of the global, randomized, pivotal Phase 3 study in Q1 2025.
• Data from the Phase 1b/2 study showed a median overall survival (OS) of 21 months when combined with atezolizumab and bevacizumab, a six-month improvement over the standard of care alone (which showed 15 months OS).

The potential differentiation in clinical evidence could unlock a total available market of more than 28,000 first-line patients in the US and five major European markets if the Phase 3 trial replicates the efficacy. This high-growth potential is why it's the closest candidate, but zero current market share means it's not a Star yet.

Here's a look at the key pipeline assets that represent the company's high-growth potential, even without current revenue:

The entire pipeline is built on high-growth potential, but the reality is that Tempest Therapeutics, Inc. is still burning cash to get these assets to market. The company reported cash and cash equivalents of $7.5 million as of September 30, 2025, and management anticipates funding operations until mid-2027. This cash burn is the financial signature of a company investing heavily in assets that could become Stars, but currently generate no revenue.

Tempest Therapeutics, Inc. (TPST) - BCG Matrix: Cash Cows

Tempest Therapeutics, Inc. has no approved or commercialized products, so revenue for 2025 is forecast at $0.

No stable, high-market-share assets exist to generate positive cash flow or fund other programs. Honestly, you're looking at a clinical-stage entity whose entire financial structure is built around funding development, not harvesting mature market returns. The company is a net cash consumer, not a generator, ending Q3 2025 with only $7.5 million in cash.

Here's the quick math on that cash burn: for the nine months ended September 30, 2025, Tempest Therapeutics, Inc. used $23.2 million in operating activities, resulting in a net loss of $22.2 million for the same period. That cash balance of $7.5 million at the end of Q3 2025 is a significant drop from the $30.3 million reported on December 31, 2024. What this estimate hides is the reliance on capital raises, like the $4.1 million net proceeds from the June 2025 registered direct offering, to offset the operating usage.

To give you a clearer picture of the operational spending that drives this cash consumption, look at the quarterly figures:

• Research and development expenses for the quarter were $0.6 million.
• General and administrative expenses for the quarter were $3.0 million.
• The net loss for the quarter was $3.5 million.

The reduction in R&D spending to $0.6 million in Q3 2025 from $7.6 million in Q3 2024 reflects the re-prioritization toward exploring strategic alternatives, which is a necessary action when cash is tight.

This next table shows how the recent quarter compares to the prior year's third quarter, illustrating the shift in the company's financial profile:

For the nine-month period ending September 30, 2025, the figures underscore the ongoing need for external funding to cover operations, as the cash burn is substantial:

• Cash used in operating activities YTD: $23.2 million.
• Net loss YTD: $22.2 million.
• R&D expenses YTD: $12.1 million.
• General and administrative expenses YTD: $10.4 million.

Finance: draft 13-week cash view by Friday.

Tempest Therapeutics, Inc. (TPST) - BCG Matrix: Dogs

You're looking at the parts of Tempest Therapeutics, Inc. (TPST) that aren't currently driving significant near-term revenue or market share growth, which, in the BCG framework, land squarely in the Dogs quadrant. These are the areas where cash is tied up with minimal immediate return, making divestiture or severe minimization the logical next step, especially given the company's current cash position.

The primary evidence for these Dogs comes from the strategic re-prioritization efforts undertaken as the company explores strategic alternatives. This focus has led to a sharp reduction in spending on programs outside the core candidates, TPST-1120 and TPST-1495. Non-core, early-stage research programs that are not TPST-1120 or TPST-1495 have seen a significant reduction in R&D spend, which is a clear signal of their Dog status.

To be fair, some operational expenses are unavoidable. The company's general and administrative expenses, which totaled $3.0 million in Q3 2025, are a necessary operating expense without direct product return. This G&A spend, which remained flat year-over-year for the quarter at the same $3.0 million level as Q3 2024, represents a fixed cost base that these non-core assets must now be supported by the remaining cash.

Deprioritized or discontinued legacy programs that are no longer the focus of the strategic alternatives process are the direct result of this cost-cutting. The financial data clearly shows this shift in focus. Research and development expenses for the third quarter of 2025 fell dramatically to just $0.6 million, a massive decrease from the $7.6 million spent in Q3 2024. This $7.0 million decrease was primarily due to a decrease in costs incurred as a result of re-prioritizing efforts towards exploring strategic alternatives.

The high cash burn rate, even after cost-cutting, is the most critical financial Dog that needs to be addressed immediately. The year-to-date net loss through the nine months ended September 30, 2025, was $22.2 million, which is an improvement from the $28.0 million loss in the prior year period, but still represents significant cash consumption. Cash used in operating activities for the same nine-month period was $23.2 million. This financial reality puts pressure on the entire portfolio, as the cash on hand at the end of Q3 2025 stood at only $7.5 million, down from $30.3 million at the end of 2024.

Here's the quick math on the key financial metrics illustrating the Dog category's impact:

The strategic decision to focus on TPST-1120 and TPST-1495, alongside the newly acquired TPST-2003, means the remaining pipeline assets fall into this low-growth, low-share category. These are the programs that are candidates for divestiture or complete discontinuation to preserve the remaining capital.

You can see the impact of the strategic pivot in the R&D spend reduction:

• R&D expense for the nine months ended September 30, 2025, was $12.1 million.
• This was a decrease of $5.6 million compared to the $17.7 million for the same period in 2024.
• The Q3 2025 R&D spend of $0.6 million is only 7.9% of the Q3 2024 R&D spend of $7.6 million.
• The G&A expense for the nine months ended September 30, 2025, was $10.4 million, which is exactly the same as the $10.4 million for the same period in 2024.

Finance: draft 13-week cash view by Friday.

Tempest Therapeutics, Inc. (TPST) - BCG Matrix: Question Marks

You're looking at the assets that are burning cash right now, hoping they turn into the next big thing. For Tempest Therapeutics, Inc., these Question Marks represent high-potential clinical programs that demand immediate, heavy investment to capture their growing market opportunity, but they currently have minimal market share-zero, in fact, since they aren't commercialized.

The financial reality is stark: Tempest Therapeutics, Inc. ended the third quarter of 2025 with only $7.5 million in cash and cash equivalents, a sharp drop from the $30.3 million held at the close of 2024. This cash burn is evident in the operating activities, which consumed $23.2 million for the nine months ended September 30, 2025. Honestly, this cash position makes the next development steps incredibly precarious.

Here's a look at the specific pipeline assets currently categorized as Question Marks:

• Amezalpat (TPST-1120): Phase 3-ready for first-line HCC, showing a six-month median overall survival benefit in Phase 1b/2 data.
• TPST-1495: Dual EP2/EP4 antagonist with FDA Orphan Drug Designation for Familial Adenomatous Polyposis (FAP), with a Phase 2 trial starting in 2025.
• New Dual-CAR T Programs: Strategic acquisition in November 2025, representing high-risk, high-reward, early-stage oncology assets.

The need for external resources to move these forward is the central theme. The company's 2024 loss was $41.8 million, and while the net loss for Q3 2025 narrowed to $3.5 million (down from $10.6 million in Q3 2024), this reduction was largely due to reprioritizing efforts and a significant drop in Research and Development expenses to just $0.6 million for the quarter, down from $7.6 million year-over-year. This signals a pause or slowdown driven by financial constraints.

The investment required for commercialization is massive, which is why Tempest Therapeutics, Inc. is actively exploring strategic alternatives, such as mergers or partnerships. The market capitalization was reported around $25.1 million in April 2025, which is not enough to fund the next steps alone.

The pivotal trial funding for Amezalpat (TPST-1120) is the critical next investment decision, determining if it becomes a Star or a Dog. This planned Phase 3 study (NCT06680258) is designed for approximately 740 patients, a scale that the current cash balance cannot support.

Consider the key development milestones and associated financial context:

The company's trailing twelve months Earnings Per Share (EPS) stands at -14.59, clearly showing these Question Marks are currently losing the company money as they consume cash without generating revenue.